INR geared for a firmer Tuesday....>

EMERGING MARKETS: INR geared for a firmer Tuesday as RBI transfer confirmed

-Offshore INR markets traded well after the close in spot as wires confirmed the

RBI will transfer around $24bln to the Indian central government. Shortly

afterwards, a Reuters source added that the government are likely to use the

additional dividend from the RBI to partly fund a fresh stimulus package for the

Indian economy. 1m USD/INR NDF outrights dropped around 0.3% in response.

-TRY held the overnight losses throughout the Monday session and remained one of

the worst performing currencies in EM. This was despite overnight flash crash

seemingly being wiped from Bloomberg charting systems (in USD/TRY, at least).

-BRL largely underperformed, with a number of analysts eyeing further losses for

the currency as markets continue to respond to the Brazilian central bank

extending their FX intervention program. USD/BRL bulls boosted the currency to

fresh multi-month highs of 4.1579 Monday, with 2018 highs at 4.2146 now within

range.

-Mexican trade balance, unemployment rate data and the Hungarian central bank

rate decision should keep markets busy Tuesday.